The Market Awaits Steel Tender Progress, SiMn Alloy Market Remains Stable [SMM Analysis]

【SMM Analysis: Market Observes Steel Tender Progress, SiMn Alloy Market Temporarily Stable】 As of this Wednesday, the SiMn alloy 65/17 (cash) in north China was priced at 5,750-5,950 yuan/mt, while in south China it was 5,900-6,100 yuan/mt. On the spot market, mainstream steel tenders have entered the market, with most participants adopting a wait-and-see attitude. Many SiMn alloy plants are holding back from selling, while downstream steel mills are cautious in their purchasing. The SiMn alloy spot market remains temporarily stable. For January SiMn alloy prices, the majority of the market holds a bullish outlook. Most participants are optimistic about future price increases, mainly due to the strong sentiment among miners to stand firm on quotes, which is expected to drive up manganese ore spot prices and increase SiMn alloy production costs, providing strong cost support for SiMn alloy. Additionally, downstream steel mills are expected to engage in winter stockpiling before the Chinese New Year, leading to a recovery in demand for SiMn alloy. Overall, supported by costs and downstream demand, SiMn alloy prices are expected to fluctuate upward in the future. On the other hand, some participants hold a bearish view on future prices, primarily because the overall supply of SiMn alloy remains at a high level, and downstream steel mills provide limited support for SiMn alloy demand. In summary, the supply surplus of SiMn alloy has not yet been resolved, and SiMn alloy prices are expected to fluctuate downward in the future. A small number of participants believe that price changes are difficult to predict, mainly because SiMn alloy plants, supported by costs, have a weak willingness to sell at low prices. Meanwhile, downstream steel mills are cautious in their SiMn alloy purchases and tend to bargain down purchasing prices. In conclusion, the SiMn alloy market is experiencing a tug-of-war between sellers and buyers, and future prices are expected to remain uncertain.